THE RATIONAL PROVIDENT' BILL

New Zealand Times, Volume XXXII, Issue 7263, 20 October 1910, Page 1

THE RATIONAL PROVIDENT' BILL

TO ENCOURAGE THRIFT GOVERNMENT SCHEME OF TENSIONS AND BENEFITS. As the Prime Minister explained in the House last night, the National Provident Bill which was introduced by Governor's Message yesterday goes some way further, and is generally a more important measure than the Bill of the same name which was brought down last session. Its purpose is to encourage the maJdng/of provision a garnet destitution arising from old age, sickness, widowhood, and orphanage. Sir Joseph Ward gave a brief outline of the provisions of the Bill, which is included in our Parliamentary report, but there aro other detail® of interest. In the first place the Bill establishes a national provident fund that will consist of the annual payments of contributors, a Government subsidy equal to one-fourth of the contributions of the previous year, and the interest accruing from investment of the fund, which is to be vested in the Public Trustee and administered by a special board. Any person may become a contributor who at the time of his first payment is a New Zealand resident between seventeen and forty-five years of age, and whose income does not exceed £2OO a year. The contributions will be payable in weekly instalments or may be paid in advance. If they are allowed to fall into arrear for more than eighteen months, the contributor ceases to have any claim upon the fund other than a return of the money paid ix. THE SCALE OF PENSIONS. The pensions secured, which are to be paid monthly for the rest of life, will begin at the age of sixty and vary from 10» to 40s a week according to the amount of the contributions. The following table gives some examples of tho weekly payments required to secure pensions on the different scales, the figures in the left-hand colume indicating the age of the contributor on joining tho fund:—

The provisions made for benefits to widow and children on death of a continuous contributor were fairly fully detailed by the Prime Minister. Tlie allowances may be either paid directly to the widow, expended by the board for her benefit, or paid to any other person for expenditure on her behalf. The benefits during incapacity are only to bo payable when a contributor becomes by reason of any illness or personal injury wholly incapacitated, either permanently or temporarily, from carrying bn his ■ usual calling. During the payment of such benefit no contributions to the fund will have to be made. The payment of benefits: on account of children will under ordinary circumstances cease at the age of fourteen years, but , the limit will bo raised to eighteen, year® in the- case of children who by reason of bodily or mental -infirmity aro unable to maintain themselves. AID IN MATERNITY CASES. An important new provision is that in respect of the payment to contributors on the birth of children. The section is as follows:—“If the wife of any continuous contributor, or if any continuous contributor (being . married woman) give® birth to a. child or children, and the joint income of that contributor and nis wife or her husband (a® the case may be) during the period of. twelve month® immediately preceding the date of birth , does not exceed £2OO, the contributor shall bo entitled to receive from the fund tire sum of £6," which, however, may be reduced to tiie amount of the expenses actually incurred in respect of medical attendance. Among the miscellaneous provisions of the Bill is one declaring that benefits payable out of the fund shall in no case bo assigned or charged to any other person. The benefits will b© guaranteed to every contributor by the State.

106 203 403 Age. pension. pension. pension s, d. e. d. e.d. 17' . 0 9 1 6 3 0 20 0 11 1 10 3 8 25 1 3 2 6 5 0 33 1 8 3 4 6 8 35 2 3 4 6 9 0 40 3 3 6 6 13 0 45 , 4 11 9 10 19 8